标题: Schweser Mock Exam 2 q83 - Return on Equity [打印本页]

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作者: rohitdoshi    时间: 2011-7-13 14:45     标题: Schweser Mock Exam 2 q83 - Return on Equity

The question asks how chaning the accounting method of a SPE from equity method to consolidation method is going to affect the Return on Equity ratio.

I thought Return on Equity stays the same under equity method/consolidation/prop consolidation?!

The answers says the ratio will decrease as equity figure will increase.



Edited 1 time(s). Last edit at Monday, May 30, 2011 at 02:15PM by reg.

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